Since April 3, 2025, Organic Law 1/2025 of January 2 has been in effect, significantly amending the Horizontal Property Law. This reform has introduced important changes, particularly impacting short-term tourist rentals in Communities of Owners. In this blog, we explain the most relevant changes:
MAIN CHANGES FOLLOWING THE REFORM
Until now, property owners could rent out their homes for tourist use without needing the approval of the Community of Owners. In other words, before April 3, 2025, tourist rentals were allowed unless the Community explicitly prohibited them by agreement in the general assembly.
However, as of April 3, 2025, under this new regulation, if a property owner wishes to rent their home for tourist use, they must obtain explicit authorization from the Community of Owners, allowing them to use their private property for tourist accommodation purposes.
Furthermore, Organic Law 1/2025 of January 2 adds a third paragraph to Article 7 of the Horizontal Property Law in its Final Provision 1. This article now states:
“3. The owner of each dwelling who wishes to carry out the activity referred to in letter e) of Article 5 of Law 29/1994, of November 24, on Urban Leases, as defined by the relevant tourism regulations, must first obtain the express approval of the Community of Owners, in accordance with section 12 of Article 17 of this Law.”
And according to section 12 of Article 17 of the aforementioned law, this express authorization requires:
“the favorable vote of three-fifths of the total number of property owners, who must also represent three-fifths of the ownership quotas.”
In short, owners who want to rent their properties for tourist purposes must obtain the express authorization of the Community of Owners before starting the activity. This approval must be backed by the favorable vote of three-fifths of the owners, representing three-fifths of the participation quotas.
SPECIAL FEES FOR TOURIST RENTALS
In addition to requiring express authorization under the conditions stated above, this new reform allows Communities of Owners to establish special fees or increases in common expense contributions for properties used as tourist rentals.
These additional fees may result in an increase of up to 20% compared to regular contributions, as stipulated in Article 17.12 of the Horizontal Property Law.
At CPG Abogados, we understand that the aim of this measure is to compensate for the greater wear and tear tourist rentals may cause in shared areas and facilities such as elevators, entrances, or security systems.
FINES AND SANCTIONS
In addition to requiring prior express authorization from the Community of Owners for tourist rentals, the reform also states that:
“The president of the Community, either on their own initiative or at the request of any owner or resident, shall require those carrying out the activity without having obtained express approval to cease the activity immediately, under warning of initiating the appropriate legal actions.”
These legal actions mean that Communities of Owners may file complaints against owners who operate without the necessary authorization or whose tourist rentals cause disturbances. These complaints may be filed with the City Council, alleging unlawful land use.
WHAT HAPPENS TO EXISTING TOURIST RENTALS?
If a property was already being used as a tourist rental before April 3, 2025, it will not be affected by this reform. The activity may continue as before, as long as it complies with local licenses and regulations that govern tourist rentals.
However, there is an important caveat: Even if the rental activity continues, the Community of Owners may approve new special fees to cover the additional wear and use of common services caused by such activity. In other words, the fact that the rental was already operating does not exempt the owner from contributing to the costs their activity may generate for the rest of the community.
CONFLICT BETWEEN THE NEW REFORM AND CASE LAW
This is one of the most sensitive issues arising from the reform. Just a few months before it came into effect, the Supreme Court issued a key ruling stating that express authorization was not required to carry out tourist rentals if the Community’s bylaws did not explicitly prohibit it.
Specifically, the Supreme Court, in ruling 264/2025, in response to the appeal CAS 7875/2025, stated that tourist rentals can only be prohibited if the Community of Owners includes an explicit ban in their bylaws.
The Court emphasized:
“A mere description of the building or its intended use for certain units does not imply a limitation on the use or ownership rights unless there is a clearly defined clause that explicitly establishes such a prohibition.”
This legal doctrine appears to contradict the new reform, which now requires express prior authorization. This inconsistency is expected to generate legal disputes in the coming years and creates a clear sense of legal uncertainty. Therefore, caution and prudence are strongly advised.
CONCLUSION
The reform of the Horizontal Property Law introduces key changes for Communities of Owners and individuals wishing to rent out their properties for tourist use. With the goal of balancing individual rights and the need for coexistence and control in shared spaces, this new legislation strengthens the role of Communities of Owners in important decision-making.
At CPG Abogados, we are here to offer support to property owners and Communities of Owners in adapting to these new regulations, ensuring legal compliance and the protection of their rights. If you have questions or need legal advice, don’t hesitate to contact us.
